Dollar Grows Stronger Against a Basket of Currencies; Increase in Key Interest Rate Expected this Year

Dollar Grows Stronger Against a Basket of Currencies; Increase in Key Interest R

On Friday, in the biggest leap reported in inflation in the last two and a half years, the greenback recovered against other key currencies which also include the Australian dollar. The Australian dollar dropped approximately one percent to US78.23¢.

The American dollar leaped 2.5 percent for the week against a number of exchange rates.

US Federal Reserve chair, Janet Yellen said that the Fed will not wait for too long to raise the interest rates. She mentioned that a delay in action would conceivably "overheat the economy" which may cause damage on the path of recovery.

According to Yellen the Fed is still considering to raise the interest rates this year. Although the time is not specified yet but September seems to be the point where the increase may be expected. As per a number of economists, Yellen is a very careful person. Hearing her say that there is a chance of the Fed raising the interest rate in the current year is surely a sign which points at an improving economy.

However, Yellen expressed a few concerns over the recent slowdown in the economy with weaker job gains than expected in 2015. Even when wages are considered, they are not increasing at a rate as expected. In general the economic growth has lingered at a fairly flat level in the year.



Popular Stories

Americans are more distressed than ever before: study

A new study has revealed that more Americans than... Read More

Scientists piece together first-ever image of black hole

Using an Earth-sized telescope, an international... Read More

Dr. Mark Wainberg dies after struggling in waters off Bal Harbour, Fla.

Famed microbiologist Dr. Mark Wainberg, who played... Read More

Microsoft patches NSA’s leaked Windows hacks

Microsoft Corp. has claimed that it has already... Read More

Las Vegas to offer clean needles through vending machines

Struggling to fight back soaring heroin and HIV... Read More

Nintendo announces new games for Switch

During the most recent Nintendo Direct, the mobile... Read More